NTPC receives govt approval to set up renewable energy unit

With rising environmental concerns and falling tariffs of renewable energy, the largest thermal power producer in the country has decided to diversify its generation portfolio.

State-run power generation behemoth NTPC said on Friday that it has received the go-ahead from approval of the Department of Investment and Public Asset Management and Niti Aayog to set up a separate renewable energy unit.

The decision of setting up a subsidiary for renewable energy comes at a time when the company, by name and predominantly a thermal player, plans to increase the share of renewable energy in its generation portfolio.

Currently, the total installed capacity of the power behemoth stands at 62,910 MW, comprising 1,070 MW of renewable energy-based plants.

Another 2,348 MW of renewable energy plants are under various stages of construction. NTPC has recently issued tenders to acquire 1,000 MW of operational solar plants, which are running for at least a year, and supplies power to their buyers at not more than `5/unit. It has also floated a tender for building 1,070 mega-watt (MW) solar plant in Rajasthan.

With rising environmental concerns and falling tariffs of renewable energy, the largest thermal power producer in the country has decided to diversify its generation portfolio.

By 2032, it plans to have a total power production capacity of 1,30,000 MW and 30% of this would be non-thermal energy based. In another 12 years, NTPC wants to have a base of 32,000 MW renewables, 5,000 MW hydro and another 2,000 MW of nuclear power plants.

As much as 15,630 MW of coal-based plants are currently being constructed by NTPC. The acquisition process of the 600 MW Jhabua power plant is in progress at the national company law tribunal.